GST classification of Fish Meal: HC requires 10% statutory pre-deposit and stays appeal pending Supreme Court outcome

HC affirmed that the statutory 10% pre-deposit under GST law must be paid before preferring an appeal; the court ordered the appellant to pay 10% and refile the appeal (electronically or physically) and directed the appeal to be kept pending until the Supreme Court decides similar matters on GST levy and classification of Fish Meal. The writ petition was disposed of on that basis, preserving the pending appellate remedy conditional on compliance with the predeposit requirement.

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Issues: (i) Whether an appeal filed without payment of the statutory 10% pre-deposit (required under the GST law) can be taken on record where the demand relates solely to Fish Meal and similar matters are pending before the Supreme Court; (ii) Whether payment of the statutory pre-deposit can be dispensed with on account of pending Special Leave Petitions in similar matters.

Issue (i): Whether the appeal filed without payment of 10% statutory pre-deposit can be taken on record and kept pending.

Analysis: The appeal was filed physically following a prior direction in a similar matter but without payment of the statutory 10% pre-deposit because the demand related only to Fish Meal; the respondents rejected the appeal for non-payment. The position under GST law requires payment of the prescribed pre-deposit for an appeal to be ordinarily entertained; however, the appeal may be kept pending subject to compliance with that statutory requirement and subject to any interim direction connected to higher court proceedings.

Conclusion: The appeal shall be taken on record only after payment of 10% statutory pre-deposit; upon such filing the appeal must be kept pending until the Supreme Court delivers its verdict in the related SLPs.

Issue (ii): Whether payment of the statutory pre-deposit can be dispensed with because similar matters are pending before the Supreme Court.

Analysis: The pendency of similar Special Leave Petitions does not, by itself, displace the statutory requirement of pre-deposit under the GST law. Where the statute mandates a pre-deposit for filing an appeal, compliance cannot be waived merely due to parallel proceedings before a higher forum; interim treatment may be accorded after compliance.

Conclusion: Payment of the 10% statutory pre-deposit cannot be dispensed with; the petitioner is directed to make the payment and re-present the appeal, after which the appeal shall be taken on record and kept pending until the outcome of the Supreme Court proceedings.

Final Conclusion: The writ petition is disposed of by directing compliance with the statutory pre-deposit requirement and permitting re-presentation of the appeal, which shall be admitted and kept pending pending the result of the related Supreme Court SLPs.

Ratio Decidendi: Where the GST statute prescribes a statutory pre-deposit for filing an appeal, that requirement must be complied with and cannot be dispensed with solely because similar matters are pending before a higher court; upon compliance the appeal may be admitted and kept pending until the higher court decides the related issues.

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